Leading food company Danone UK & Ireland has urged the government to consider taxes on foods high in fat, sugar, or salt (HFSS) as a measure to tackle the obesity crisis.
The company believes government intervention is necessary to ensure the availability of healthier options for consumers, as some food firms have been slow to change.
This marks the first time a major food company has called for urgent government action to address rising obesity rates, which currently affect 64 percent of adults in England, according to the Health Survey for England 2021.
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James Mayer, president of Danone UK & Ireland, said: “The UK food industry’s efforts to improve the health profile of its products have not moved fast enough.
“We’ve reached a point where meaningful intervention from the government is a necessary course of action.”
Danone’s proposed interventions include setting clear parameters for the industry and consumers regarding what constitutes a healthy product.
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This would involve promoting transparency and data sharing in the food and beverage sector, implementing advertising restrictions on HFSS products, and considering the alignment of VAT rates with the health credentials of products.
The company emphasized it does not intend to increase overall shopping costs but suggested reviewing taxes to incentivize healthier products while imposing taxes on products high in fat, sugar, or salt.
Currently, most groceries are exempt from VAT, with exceptions including ice cream, soft drinks, and certain biscuits.
Critics have accused the food industry of not acting quickly enough to reformulate products and promote healthier options. Nestlé, for example, faced criticism for launching KitKat breakfast cereal, which contains nearly 25 percent sugar and was described as “nutritious” in its promotion.
Campaigners argue that the UK government has failed to take appropriate action to address the flood of unhealthy food.
In response, a spokesperson for Nestlé UK & Ireland highlighted the company’s commitment to developing healthier and more sustainable brands, with 84 percent of its UK cereal portfolio being non-HFSS. The spokesperson acknowledged the potential benefits of effective regulation in the food industry.
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Professor Graham MacGregor, Chair of Action on Sugar, supported Danone’s call for more regulation, emphasizing the need for government control over the food industry to combat obesity effectively.
The government has already implemented measures such as restricting the display locations of unhealthy foods in supermarkets and plans to regulate multi-buy deals in October.
The Food and Drink Federation expressed concerns about an additional tax burden on manufacturers and emphasized their commitment to improving the nutritional profile of food and drinks.
The Department of Health and Social Care highlighted existing actions taken to address unhealthy foods, including the restriction of HFSS food locations, sugar reduction programs, and ongoing collaboration with the industry to promote healthier choices and support weight loss efforts among those living with obesity.